Certified Supply Chain Professional (CSCP) Practice Exam

Is a strategic plan typically a long-term plan focused on actions to support organizational mission and goals?

1. No, it's a short-term tactical plan

2. Yes, it covers 5-10 years

3. No, it is only about marketing

4. Yes, but it is updated annually

The correct answer is: Yes, it covers 5-10 years

The correct choice highlights that a strategic plan is indeed a long-term plan, generally covering a time frame of 5 to 10 years. This duration allows organizations to set broad objectives and allocate resources effectively to achieve their overarching mission and goals. Strategic plans are essential for providing direction and aligning the efforts of the organization across various departments. In contrast, tactical plans tend to focus on short-term actions and specific initiatives designed to implement the strategies identified in the strategic plan. While strategic plans define the overall direction, tactical plans operationalize that direction in the near term. The assertion that the strategic plan is solely about marketing does not capture the comprehensive scope of strategic planning, which encompasses all facets of the organization, including operations, finance, and human resources. Finally, while it is common for strategic plans to be revisited and updated regularly to ensure alignment with changing conditions, the essence of a strategic plan is its long-term focus, which typically doesn’t limit itself to annual updates but looks to establish a foundation for sustained growth over a multi-year horizon.